Centralized Information Technology (IT) Procurement System

1. Centralized Information Technology (IT) Procurement System Presented by: Mr. Rolando Estrada Mr. David Mrazik Leading NAVMED through PortfolioManagement.

2. Learning Objectives • Distinguish between different IT procurement methodologies • Understand successful IT procurement methodology • Provide end user insight to a disciplined procurement process. • Understand the activities associated with effective procurement projects • Conduct procurement planning and stake holder management Leading NAVMED through PortfolioManagement. 2

3. Decentralized Execution • The current environment for IT procurements is inefficient and ineffective. • With De-centralized execution Navy Medicine does not take advantage of the buying power afforded to structured, standardized and central IT procurements • Life cycle planning and execution is difficult Leading NAVMED through PortfolioManagement. 3

4. Decentralized Execution (cont.) • Each organization does its own negotiating, contracting, and purchasing of IT hardware, software, and services. • Each organization and the affiliates it supported concentrated on its own local requirements. • The combination of geographic separation and focus on local needs results in fragmented procurement and little sharing of information, who was buying what, when and from which vendor, and at what price? • Purchases are timed and executed strictly in accordance to local requirements and available funding. Leading NAVMED through PortfolioManagement. 4

5. Centralized Information Technology (IT) Procurement System • Understand roles and responsibilities of stakeholders • Document levels of approvals; list dollar thresholds and difference in approvals with requisitions within/outside of approved budgets • Identify performance measures and service commitments • Evaluate available software systems for an Enterprise IT Procurement system • Review past initiatives Leading NAVMED through PortfolioManagement. 5

6. Centralized Information Technology (IT) Procurement System (cont.) • Implement a centralized IT procurement process within Navy Medicine • This centralized approach ensures the procurement of product and services consistent with technology standards with the overall intent of reducing maintenance and support costs • Life cycle management is attainable Leading NAVMED through PortfolioManagement. 6

7. Centralized Information Technology (IT) Procurement System (cont.) • Develop and implement IT Procurement processes and an automated IT Procurement system with associated workflows • Movement to enterprise software agreements and licensing • Movement towards Blanket Purchase Agreements (BPA) of standard hardware procurements • Suggest staff requirements (numbers, specialties, functions, etc.) Leading NAVMED through PortfolioManagement. 7

8. Performance Measures • Economies of scale leading to cost reduction • Reduction in cost of duplication (manpower, space, overhead, etc.) reduces overall costs • Standardization of equipment resulting in reduce delivery time • Standardization of processes and controls & ease of compliance reduce implementation timeframes Leading NAVMED through PortfolioManagement. 8

9. Return on Investment • By centralizing the major IT procurements, an economies of scale will result in decreased costs • Life Cycle replacement will decrease overall costs for the enterprise. • Focus on “quick wins”. Commodities with greatest potential for cost reduction and savings through aggregated purchases. • “Level the playing field”. Commands will get their computing resources on a quarterly/annual basis. Leading NAVMED through PortfolioManagement. 9

10. Comparison Leading NAVMED through PortfolioManagement. 10

11. This blank slide provided for full page graphics, e.g., charts, screenshots, etc. Leading NAVMED through PortfolioManagement.

12. CENTRAL IT Procurement IMPLEMENTATION Leading NAVMED through PortfolioManagement. 12

13. Centralized Information Technology (IT) Procurement System • Prepare and implement an action plan to streamline technology procurement and installation • Stage procurements evenly throughout the year (Quarterly/Annually) • Establish average time for technology procurement and installation Leading NAVMED through PortfolioManagement. 13

14. Structured Replacement of Computing Assets • “Quick Win’, base on Navy Medicine SMS data to establish baseline replacement of computing assets (Desktops, notebooks, servers, storage, etc.) • Establish replacement criteria (servers every 4/5 years, workstations every 4/5 years, etc) • Evaluate historical data on IT procurements of computing assets to establish a recommended budget. • Field computing assets in a pre-determined manner based on empirical data. Leading NAVMED through PortfolioManagement. 14

15. Summary • This managed Program will include significant savings for organizations based on Navy Medicine-negotiated discounts, better hardware management through central receiving and inventory of program equipment, expedited support for program equipment, and enhanced data security through lifecycle management. • Additionally, it will provide oversight of IT expenditures for the enterprise. Leading NAVMED through PortfolioManagement. 15

16. Contact Information • Rolando Estrada • rolando.estrada1@med.navy.mil • 202-762-0385 • David Mrazik • david.drazik@med.navy.mil • 202-762-3132 Leading NAVMED through PortfolioManagement.

17. Questions Leading NAVMED through PortfolioManagement. 17